All Forum Posts by: Cory Baker

Coming across that in AZ also. FHA won't finance the assignment.

Make sure you are dealing with an investor-friendly Title Company or Attorney, and ask them.

If someone has FHA financing do they have cash to buy you out of your assignment?

If you have say a 5k assignment fee and a contract in escrow between you and the seller, as long as they can pay for the assignment, then they should do that and then they enter into the contract you have with the seller.

Now, you'd have your assignment separate from the purchase and sales agreement and you step out.

The end buyer and your seller now deal directly with each other and that should be satisfactory.

Again, check with your investor-friendly TC or Closing Att.

Thanks, everyone. I was just looking back at this thread and see, now some good input, or at least NOW, I understand it better. Maybe, I just need to wait till I've accumulated a little more, cash, connections, and experience before going after those with big non-refundable deposits. I have seen some good ones (potentially-low cost High ARV-when I researched and or was familiar with the area) that have come to my email.

 I'm liking the lease option assignment idea and am learning more on that. But, then too I hear Dodd Frank and SAFE and hit the brakes.

I have located a real estate attorney through AZREIA that will help me get the correct documents for $200. That should embolden me. 

Wow, I can't believe I left out how attending and later joining some local REIA's: AZREIA and PREC were and are very important to me and help me associate with successful people and the right mind set! That's also where I met a leader of the Matrix Group.

Mindset is key. As for books I never really found one ON WHOLESALING, I thoroughly liked. Some were too aggressive in bait and switch, leaving out equitable interest, or just left me confused. I had had a license for a few years and some of the things seemed to be unethical, or could jeopardize a license. 

As for courses, I highly recommend Steph Davis for FSBO wholesaling, and REO wholesaling. Most of that is free on youtube, but she has 2 courses that are good. Of course, Matrix helped me fill in the gaps of all the study, negotiating, contracts, calls, and locating potential deals that I was missing.

 My favorite books on mindset are The Go-Getter, Who Moved my Cheese, The One Minute Investor, The Road to Wealth, and the Art of the Deal. The last 3 have real estate investing in mind.

The Ultimate Guide to Real Estate Investing, and a few other ultimate guides here on Bigger pockets, and Phil Pustejovsky's How to become a Real Estate Investor -I think I have these Titles right- are good sources also. 

 My favorite overview video on wholesaling is by Cody Sperber.I also liked another one of his where he is signing paperwork with a local title agent. Finding her (actually sought her out) and talking with her cemented in my mind there are legal ways to accomplish wholesaling and some Title Agents like her know the correct ways as well as newest restrictions.  She is a real person. Having an investor friendly title agent is critical.  

 I take in a lot of videos mostly youtube, and attend meetings as I think it is critical to develop the correct mindset, and to network with succesful people, as well as, others learning, and eager like I am. 

 Learn a little. Then maybe a little more to start. Do a little. Assess. Repeat. Associate with success. Celebrate little success. Laugh some. And pursue your passion, your dream, your vision, and feed your burning desire to succeed.

 Like I say, Find Solutions...Not excuses!

Hey, welcome aboard, Braden! 

If you are interested in the investing part of the business you might look here and read much of what is offered at biggerpockets. Every now and then they have another guide we can read for free to get some concepts down.

Personally, I've read many books, listened to tapes and cd's, attended seminars, and webinars, and even had a license for several years.

I think of 2-3 online YouTube mentors that I really liked and think you might want to start there Steph Davis and wholesaling, Phil Pustejovsky on Creative finance, and Ron LeGrand for Owner Finance, Lease Options, Subject to, of Pretty Houses!

[There's a guy on here who's big on Lease Option Assignments, Brian Gibbons and I would love to add that to my toolbox. He's on YouTube too by the way]

Cody Sperber has one very good video about an overview of Wholesaling.

 What I've wanted was a Local Live Active Mentor and am not sure I always knew it. I came across 2 groups last year that said I could join them. I didn't have the 1k to start with the Matrix but liked most of what they had to offer. I went with the "free" group and did a great deal of work knocking on doors, hanging sticky notes, making phone calls and would find people they had no clue how to reach and I'd get them on the phone etc. Never got paid! Ugh. Never closed a deal with me. Double ugh!

 So, I kept on trying and failing at well, pretty much everything I tried! The end....

Okay, well the end of 2015 anyway and no deals done!

So, I went to work, kept studying, kept trying and saved up some money. Living out of a warehouse? Yes, I do not recommend it!

 Anyway I tried reaching out to Ron LeGrand's group and I was suddenly like 6k too low to start or something...

 So, I revisited the Matrix and really investigated this joint venture/mentor/student thing. I was IN and with in a little over a month I had my first contract, and one more month I was being paid my portion of an 8k deal I found.

 They were with me every step of the way and helped me get it done. Since then I had an acquaintance of mine check it out. She finally did and joined like 3 weeks later. I've only been a member of the Matrix group since early April 2016 (this year) and it has been a good match for me.

 Some Cashflow game group I found was a Renatus group and it wasn't the first time they came across my radar. I think if people have the money and desire that might be a good fit for some. I try to keep in touch with them.

 Currently I have a townhouse for sale (under contract) and the spread was not that great. Matrix would not take it on, yet they have been willing to guide me with my questions and their advice and I learned so much from my first deal, that it just helped me lock up this one.

And yes, it was not my money, credit, forms, or solely my personal knowledge. I didn't even have my own car, or place of my own... But, I don't let that stop me.

Well, that's some of my experience and I hope that helps someone.

Take good care and Happy Investing.

Cory Baker

PS you can contact me for more info.

Well, the interesting thing besides me not getting this done or a buyer to take it from me for 235k is that it sold for 295k 4 months later. That no one bought me out of my option is disappointing, actually. 60k potential profit. Who'd want that???

Still do not know how to cancel an Ad on BP!

I could not get this deal to work out and my option expired!

I see that it sold in April 2016 at 295K!

And as a 4 bedroom...

Is now on MLS also! #5481224

Okay, We started at 120k and a smaller remodeled unit (58) Asking 126.5k  went for 129K. And another remodeled unit (15) of same size as unit 27 has the loft made into a 3rd bedroom and is listed at 145k.

I'm looking for a Cash Buyer for Vacation or Buy and Hold rentals, or possibly a quick rehab investor. The property could use carpet, paint, and possibly have the loft converted.

We are lowering the 120k to 118k and that leaves just enough in to cover a buyer with a real estate agent if need be. 

We've had many showings already!

Make an offer! 

http://phoenix.craigslist.org/evl/reo/5700865454.h...

Hey, I have a townhouse in Mesa undercontract. Right near Oakland A's Spring Training Ball Park! (fka Cub's Training Park)

222 W Brown unit 27. Mesa, AZ 85201

It's a large 2/2 with a loft! 
And community Pool/Jacuzzi!

We started at 120k and thought we started a little high. Since then a smaller
remodeled unit (#58) just sold at 129k and originally listed at 126.5k!
Another unit of same 1343 as "my" unit was remodeled and the loft closed in to make a 3rd bedroom just listed at ... are you ready??? $145k! And is pending.

Something is trending the ARV up and it might be a good start for new investors.
Paint, and Carpet would really spruce this up.

As for HOA and cash flow the hoa=189, and rents are 850-1100 in this area.

Est. Cashflow: $100-250
Vacation Homes in Area: $50-100/night. More during Peak Season!

Current Ask: $118,000

Do own due diligence. 

One of my partners is a Realtor.

http://phoenix.craigslist.org/evl/reo/5700865454.html

Two things: 1. I finally got my first wholesale deal done! It was a joint venture (with some Local Active Investors:Key) and I got 20% of the spread for me and my business partner! Whoo hoo! My kids helped me find it while driving for dollars! We celebrated by getting tickets for the Circus! But, That's for another time.

2. I just got a call from a friend. His mortgage payment is going up $500 in about 3 months.
He owes: about 19k on first and about 85k on the 2nd, a HELOC.

I was thinking wholesale? Subject to? Owner Finance? Hmmm. 

There is a tenant paying $850/ mo. on month to month.  Rents range in that complex from 900-1100. So, he's a little low.  His cashflow has been $75-100/ month.

Breakdown of payments: About $370 (loan 1)+ about $250 (loan 2)+ $188 HOA= $808/ month. He says $750-800/month.

ARV in the area brings up 105-110k. New A/C about 2 years ago. Only carpet and other minor cosmetics needed.

The payment is going to be about 1300 and even at high end rent of say 1100 he'd owe 200 more/month.
He's not sure that would fly with his good tenant.

He's done some checking with Realtor's and even the $2500 flat rate type is too much. So, he called me!
I'm thinking of a low wholesale deal.  

Structuring where he agrees to sell it to me with 21 day inspection period and 40day close and small emd maybe $100-500.

Then selling my equitable interest through a broker. (Our state allows that.) And splitting with the broker the profit. 

If I can't get it done in 10days I give the house back. 

If I can get it for 105k I think that gives my friend about 1500.
If I get it sold at 110k I have a 5k spread to split.

How would you stucture the deal. As a wholesale deal there's not much there. 

But as a micro-wholesale it might actually help my friend who's looking at a big headache.

To your Success.